Public debt at €19.3bn in June, PDMO says

Public debt reached €19.3bn in June, up from €19.1bn at the end of March, and €18.7bn at the end of June last year, the Public Debt Management Office (PDMO) said.

The latest figure does not include a €270m loan repayment to the International Monetary Fund made in July with funds raised by the government through an €850m 7-year bond on June 20, the PDMO said in a statement on its website on Friday.

In the latest bond issue, the government also bought back €546m in other outstanding securities, thus smoothing out future maturities, the office said. Maturities will exceed €400m this year, more than double that in 2018. In 2019 and 2020, they will exceed 1.4bn each year.

“Public debt is defined as any money owed by a government agency. An example of public debt is money owned by a city to pay for a recently-finished sewer system.”

Kevin Ingham

The first thing to observe is that the government is spending borrowed money to meet it’s repayments (which is why the debt has gone up) and the repayments schedule is about to get a bit more onerous (without the capacity or reserve to cover it ?)

Douglas

Once the gas revenue comes flooding in they can pay back 🙂

Kevin Ingham

I suspect you are being a bit tongue in cheek there

Every insolvent entity or person “just needs to borrow a bit more money” to be able to ” turn the corner” and subsequently “make it’s repayments”.

As for gas (and oil)?- the world still needs them, but the world is awash with them and the revenues available to governments are simply not there as a result . Venezuela and Saudi Arabia are two countries who are realising that the low price of fossil fuels and the over supply makes significant revenues from extraction of the stuff an impossibility.

By the time the dust settles in a couple of decades I suspect many countries will be left with worthless reserves ? If that isn’t the case then the whole renewables/ global warming arguments and policies are an expensive sham